Nasdaq has suspended the introduction of its own cryptocurrency custody service.
Nasdaq has suspended the introduction of its own cryptocurrency custody service.
Nasdaq previously stated that it will introduce cryptocurrency custody services by the end of the second quarter of 2023.
However, the global securities marketplace has halted the rollout of the services.
The changing corporate and regulatory environment in the United States has been cited by Nasdaq.
The debut of Nasdaq’s own cryptocurrency custody, which was initially scheduled for the end of the second quarter of 2023, has been delayed.
During the Q2 earnings call, CEO Adena Friedman stated that Nasdaq has delayed the launch of its digital asset custody service due to regulatory challenges in the United States.
The CEO confirmed the launch’s cancellation, saying:
“This quarter, in light of the changing business and regulatory environment in the United States, we have decided to halt our launch of the U.S. digital assets custodian business and our related efforts to pursue relevant license.”
Nasdaq remains dedicated to cryptocurrencies.
While the global securities marketplace has postponed the introduction of its own crypto custody services, it has stated that it remains committed to digital asset business development.
While assuring clients that Nasdaq will closely watch the market for potential regulatory events in the coming months, Adena Friedman stated:
“We will continue to develop and deliver technology capabilities that will position Nasdaq as a leading provider of digital asset software solutions to the global industry.” This includes developing our custody solution as a technological platform to service the larger, global digital assets industry.”
The announcement comes as prominent crypto-related companies resubmit their applications for spot Bitcoin exchange-traded funds (ETFs) to the SEC. Almost all of the companies planning to launch BTC ETFs intend to offer them on the Nasdaq market. The SEC is expected to review the resubmitted petitions and decide whether they should be approved or rejected. The Valkyrie Spot Bitcoin ETF application is the most current Bitcoin ETF application accepted by the SEC.
